Fuel Surcharges Lawsuit

Cruise lines pay $21 million settlement in fuel charges suit.

Fuel Surcharges

Miami, FL: (Mar-10-08) The Florida Attorney General's Office filed a lawsuit against Royal Caribbean Cruise Lines and Celebrity Cruises, alleging that they wrongly began charging retroactive fuel supplement charges in mid-2007. The suit was filed after the Attorney General's Office received more than 300 complaints from consumers nationwide, sparking off investigations into the business practices of several cruise lines in the state. State officials claimed that after as fuel prices soared to record highs in November 2007, Carnival Corp. began levying the fuel charges for its various lines. Other cruise operators quickly followed suit.

The Florida Attorney General's Office stated that a settlement had been reached, in which the two lines will pay $21 million to resolve allegations. Company spokespersons said that under the voluntary settlements, the two units of Miami based Royal Caribbean Cruises Ltd. will refund the full cost of the surcharges to all consumers who were retroactively charged. It is estimated that over 300,000 passenger bookings are covered in the settlement.

Further, the AG's office stated that the cruise lines can continue charging the fuel surcharge going forward so long as it is clearly disclosed to consumers before the sale. Following the recent settlement, state officials said that they are continuing to look into whether the various cruise lines acted in concert to impose the surcharges in violation of antitrust laws. [MIAMI HERALD: CRUISE LINES REACH $21 MILLION SETTLEMENT]

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